What you have to know about bird flu is that it is first of all a transmission issue between live birds to humans, and then from those humans to others. So the people affected in the first line are the ones who go to open markets or deal with livestock. If you need to go to such markets or deal with live poultry, you might want to take a distance from this activity - in general, not only now. Bird flu has been an issue in Asia now since some years and you would be in a different type of risk all around, no matter of a specific current threat or not.
The main concern that people have right now in China is that the numbers reported by the government might be under reported. Some say by a factor of 10x. What is the true number is of course anybody's guess. The experience from the SARS epidemic showed that China likes to keep anything that could cause a panic on a smaller flame.
The risk for the general public as opposed to tourists however is much higher since they go daily to live markets and buy food there. Tourists on the other hand are in very limited exposure since there is quite a path to make from the person selling the chicken, over the person buying it, through the cooks, the servers until you eat it at a restaurant. Keep in mind that at this point any disease is transmitted only through people, not through the chicken you eat anymore. General flu and other diseases are just as easily transmitted as bird flu. How often do you get a flu? Well, that risk is the same in the whole world just as in China.
So as long as you are staying clear of the markets, you are fine. Even if the current infection rate is under-reported by a factor of 10x, the chances that you are in contact with a virus in Shanghai through a restaurant is just about the same as anywhere else in China, and only remotely higher anywhere else in the world.
And, by the way, the current status is that Tamiflu seems to be a working remedy for N7H9, so even if you might contract something against all odds, this one does not seem the scary killer virus the press would like it to be to push up their sales figures.